IBM unveils new mainframe server

IBM has spent over $1 billion over a four-year period in developing a new mainframe computer, as businesses shift to cloud-based software and storage.

The Armonk, New York-based company unveiled the zEnterprise EC12 mainframe server today, the latest iteration of a 48-year-old product. According to Rod Adkins, senior vice president of systems and technology, the product is the outcome of over $1 billion in research and development around the world to make the fastest and most secure IBM mainframe yet.

Even with IBM shifting its focus to more profitable businesses such as software, the mainframe was central to the strategy, Adkins said in an interview.

Revenue in IBM's System Z mainframe line was down 17 per cent in the first half, from a year earlier, contributing to a decline in the $8 billion systems and technology business, according to a regulatory filing.

Large enterprises including banks, retailers and government agencies buy mainframes to support their data systems.

According to Adkins, IBM's EC12, the first update since 2010, had 50 per cent more capacity than its predecessor and ran at 5.5 GHz, the fastest in the industry.